Property vs pensions: Does buy-to-let still stack up?

This is Money Podcast

This is Money

Business News, News, Investing, Business

4.4 • 734 Ratings

🗓️ 23 March 2018

⏱️ 47 minutes

🔗️ Recording | iTunes | RSS

🧾️ Download transcript

Summary

My property is my pension. That was the popular saying when buy-to-let was all the rage and every other person you met fancied their chances as a minor property mogul.

But life has got much tougher for landlords, with a series of tax grabs and tougher mortgage rules hitting.

So does buy-to-let still stack up as a way to build your wealth?

It certainly requires a lot of money upfront, even more now than ever before, and while the taxman will take a big chunk of your buy-to-let investment pot in stamp duty, he’ll give you money back if you invest in a pension instead.

Simon Lambert, Sarah Davidson and Georgie Frost take a look at buy-to-let and the property market in this week’s podcast, including how it compares to investing in your Isa or a pension.

They also look at investing in property without buying it directly yourself, and whether houses are too expensive now for good profits in years to come, or if there are some areas where an investment still makes sense.

Also, tackled on this week’s show is whether interest rates will definitely rise in May and what’s behind the tough times on the High Street.

And finally, ever wondered whether you could stick a hypercar on finance. We explain how much that costs and why further down the ladder a lot of those supercars you see are going on the never never.

Email us hello@dmgmedia.co.uk

Text us 020 7938 6000.

Hosts: Georgie Frost, Simon Lambert, Lee Boyce, Helen Crane

Producer: Georgie Frost

Hosted on Acast. See acast.com/privacy for more information.

Transcript

Click on a timestamp to play from that location

0:00.0	Welcome to This Is Money Podcast in partnership with NS&I, your weekly roundup of the top personal finance, consumer and business stories that editor Simon Lambert and his team have been covering on their award-winning website. I'm your host, Georgie Frost, and joining Simon I today is Knowledge and Product Editor Sarah Davidson. And coming up, Property versus P pension, what's really best for your retirement?
0:22.9	If you still like the idea of bricks and mortar, where do you look? The divide between London and
0:27.8	the south of England and everywhere else continues to grow. But don't think you can pick up a
0:32.9	house for a song elsewhere. There's just one local authority area out of 348 in England, Wales, where
0:39.7	the average property price is still under 100 grand. 10 points, if you can guess where, a further
0:44.8	10 points if you can pronounce it. Also today, we're being put on notice for another rate rise,
0:49.9	more High Street woes, and who the heck would spend £26,000 a month on a car finance deal.
0:57.3	All that and plenty more coming up.
0:59.0	And don't forget you to stay up to date with all the latest breaking money news.
1:01.9	Just go to this ismoney.co.uk or download the app.
1:06.2	This is Money.
1:07.7	Brought to you in partnership with NS and I, giving you 100% security for your savings, backed by HM Treasury.
1:16.0	But first, my property is my pension, is a rather popular notion.
1:20.9	We Brits are really caught up, aren't we, and the idea that property equals wealth.
1:26.1	Owning a second property is regarded by many
1:28.2	as a long-term savings fund route,
1:30.8	sometimes in preference to pension investing.
1:33.4	But what is the reality?
1:34.9	Can or should, a buy-to-let investment
1:37.2	ever play a leading role in your retirement plans?
1:40.3	A very warm welcome to you both.
1:43.0	Sarah, to you first. We do love property, don't we?
	...

Please login to see the full transcript.

Previous episode | Next episode

Disclaimer: The podcast and artwork embedded on this page are from This is Money, and are the property of its owner and not affiliated with or endorsed by Tapesearch.

Generated transcripts are the property of This is Money and are distributed freely under the Fair Use doctrine. Transcripts generated by Tapesearch are not guaranteed to be accurate.